Besides Cicis' right to modify the System Standards, how can the Cicis Franchise Agreement be modified?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
We and you may by written instrument unilaterally waive or reduce any obligation of or restriction upon the other under this Agreement, effective upon delivery of written notice to the other or another effective date stated in the notice of waiver. Any waiver granted will be without prejudice to any other rights we or you have, will be subject to continuing review, and may be revoked at any time and for any reason effective upon delivery of 10 days' prior written notice.
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Disclosure Document, Cicis or the franchisee can unilaterally waive or reduce any obligation or restriction upon the other under the agreement. This modification is effective upon delivery of written notice or another effective date stated in the notice of waiver. However, any waiver granted is subject to continuing review and may be revoked at any time and for any reason with 10 days' prior written notice.
Cicis's ability to modify the agreement unilaterally provides flexibility but also introduces some uncertainty for the franchisee. While the franchisee may benefit from a waived obligation, Cicis retains the right to reinstate it with only 10 days' notice. This could impact the franchisee's operational planning and financial projections.
This type of clause is not uncommon in franchise agreements, as it allows franchisors to adapt to changing market conditions or address specific franchisee needs. However, prospective franchisees should carefully consider the implications of such clauses and seek legal counsel to fully understand their rights and obligations under the agreement. Franchisees should also maintain open communication with Cicis to understand the potential reasons for waivers and revocations, and to mitigate any potential disruptions to their business.